scholarly journals Subcontractor Oversight on Construction Cost Overruns in Real Estate Projects in Nairobi and Kisumu Counties, Kenya

2021 ◽  
Vol 14 (6) ◽  
pp. 15
Author(s):  
Joanne A. Kepher ◽  
Charles M. Rambo ◽  
Raphael O. Nyonje
Keyword(s):  
Real Estate ◽  
Sample Size ◽  
Construction Projects ◽  
Construction Cost ◽  
Sample Size Determination ◽  
Cost Overruns ◽  
The Real Estate ◽  
Real Estate Projects ◽  
Main Instrument ◽  
Level Of Significance

Cost overruns have provided a significant challenge in the construction industries of both developed and developing countries. The purpose of this study was to investigate the influence Subcontractor Oversight on Construction Cost Overruns of real estate projects in Nairobi and Kisumu Counties. The study was guided by objective, to establish the extent to which subcontractor oversight influence real estate construction projects cost overruns. The research adopted descriptive survey and correlational research designs. The study targeted a population of 4000 project professionals that constituted 7 professionals from active real estates in Nairobi and Kisumu Counties and 10 key informants from the real estate industry. Using the Krejcie and Morgan table of sample size determination, the sample size for this study was 351. The study then adopted stratified, simple random and purposive sampling methods to select appropriate sample sizes from the study population strata. Structured questionnaire was the main instrument for data collection, supported by interview guide. Hypothesis was tested at α=0.05 level of significance and the results were: H0: There is no significant relationship between subcontractor oversight and real estate construction projects cost overruns was rejected since P=0.000<0.05. Considering the study findings and conclusions, the following recommendations were made: Project professionals and other relevant real estate project stakeholders should encourage comprehensive subcontractor oversight as critical concerns in assembling pertinent information and creating avenues that could be utilized to reduce real estate construction projects cost overruns.

Perceived Influence of Students’ Demographic Variables on Their Access to Financial Aids in Public Universities in Rivers State, Nigeria

2018 ◽  
Vol 8 (2) ◽  
pp. 32-50
Author(s):  
Emmanuel Olorunleke Eseyin
Keyword(s):  
Sample Size ◽  
Public Universities ◽  
Sampling Technique ◽  
Demographic Variables ◽  
Sample Size Determination ◽  
Interview Schedule ◽  
The Public ◽  
Research Questions ◽  
Level Of Significance ◽  
Rivers State

The paper investigated the perceived influence of students’ demographic variables on their access to financial aids in public Universities in Rivers State, Nigeria. Six questions were formulated to guide the study and five hypotheses tested at 0.05 level of significance. The design adopted for the study was an analytical survey. The population of the study included 78, 216 students (34,997 male and 43,219 female) in the three public Universities in Rivers State. The sample of the study covered 791 students (Male= 395 and Female= 396) selected through the random sampling technique while Taro Yamane method of sample size determination was used for determining the sample size. The instruments used for collecting responses from students were questionnaire and a ten items interview schedule. The research questions were answered using frequency, percentage and cumulative percentage. Findings of the study revealed that students’ demographic variables have an influence on their access to financial aids in public Universities in Rivers State, Nigeria. The implication of this is that the government’s expenditure on education will continue to increase in the absence of these alternative financial aids in the public Universities in Rivers State, Nigeria.

UAE real estate market will likely recover in 2019

2018 ◽  
Keyword(s):  
Real Estate ◽  
United Arab Emirates ◽  
International Investment ◽  
Real Estate Market ◽  
Content Type ◽  
The Real Estate ◽  
Regional Conflict ◽  
Real Estate Sector ◽  
Real Estate Projects ◽  
Regulatory Measures

Significance After three difficult years, the United Arab Emirates (UAE) real estate market appears to be finding a floor, with several property consultancies and management firms cautiously optimistic over the prospects of a turnaround. New regulatory measures and a delay in some planned real-estate projects aim to support prices. Impacts The importance of the real-estate sector to Emirati non-oil GDP will rise further, magnifying its impact on growth. Dependence on international investment and public-sector spending will expose the sector to volatility in case of regional conflict. The UAE will increasingly look towards Asian countries as property buyers, especially India, China and Pakistan.

scholarly journals Exploring the Components of Cost on Construction Projects

2018 ◽  
Vol 2 (2) ◽  
pp. 42-50
Author(s):  
Abimbola Windapo ◽  
Alireza Moghayedi ◽  
David Oliphant ◽  
AbdulRauf Adediran
Keyword(s):  
South Africa ◽  
Construction Projects ◽  
Resource Planning ◽  
Construction Cost ◽  
Research Approach ◽  
Construction Work ◽  
Construction Costs ◽  
Cost Overruns ◽  
Planning And Control ◽  
Electrical Installation

This study examines the components of construction projects and whether there are construction resources that are the key project constituents. The rationale for the study stems from the unexplained assumptions regarding the primary components responsible for increases in construction costs in South Africa, as South Africa lacks a national building cost database. The study adopts a qualitative research approach that employs a case studies of six new and six refurbished projects in obtaining the necessary data for use in answering the study objectives. The study found that the primary cost constituents of construction projects are materials and sub-contracted work, accounting for 63.69% and 74.6% of the value of renovation and new construction work respectively and on the average, the major materials by value are reinforcement, cement and filling, while Electrical Installation is the primary sub-contracting item by value. Based on these findings, the study concludes that the future levels of construction work can be predicted knowing levels of specialist sub-contractor costs and building material costs. The study recommends that the sub-contractor and material inputs into construction projects are carefully managed, both on the projects and the construction industry, to limit construction cost increases and cost overruns on projects. The study contributes to the literature on resource planning and control in construction. Keywords: Cement, Construction Cost, Electrical Installation, Reinforcement, Specialist Sub-contractor.

scholarly journals CONSTRUCTION COST AND THE GROWTH IN SUPPLY OF REAL ESTATE HOUSING IN KENYA

2016 ◽  
Vol 1 (1) ◽  
pp. 56
Author(s):  
Samuel Mungai Ngugi ◽  
Dr. Lucy Wamugo
Keyword(s):  
Real Estate ◽  
Interest Rates ◽  
Low Income ◽  
Building Materials ◽  
Construction Cost ◽  
Real Estate Market ◽  
Primary Data ◽  
High Interest Rate ◽  
The Real ◽  
The Real Estate

Purpose: The main purpose of this study was to establish the effects of construction cost on the growth in supply of real estate housing in Kenya. Methodology: The study adopted a descriptive research design. The target population was 78 registered real estate companies in Kenya. The sample size was therefore 39 registered real estate companies in Kenya. Primary data was collected through the administration of the questionnairesResults: The study found that finance cost, cost of building materials, cost of land and tax cost have a statistical and negative influence on the growth of supply of real estate housing. The study also concludes that increase in growth of real estate market despite the high interest rate could owe to the price inelastic demand for housing owing to economic disparity in the country. While low income earners, who are majority, are pushed away to less glossy and crowded homes where survival supersedes luxury, the upper middle income purchase of housing units is on the upward spiral.Unique contribution to theory, practice and policy: The study recommended that the government should lower interest expenses so as to encourage the increase in supply of affordable real estate housing. The bank should also lower their interest rates so that the real estate firms can be able to increase the supply of housing. The study also recommends that investors should consider investing in the real estate market despite the erratic interest rates.

scholarly journals Research of the problems of project financing of construction of residential real estate using the escrow account mechanism

2021 ◽  
pp. 176-182
Author(s):  
I. A. Pantyukov ◽  
V. A. Opekunov
Keyword(s):  
Real Estate ◽  
Construction Projects ◽  
Real Estate Market ◽  
Federal Law ◽  
Pricing Policy ◽  
The Real Estate ◽  
The Real Estate Market ◽  
Before And After ◽  
Shared Equity ◽  
Real Estate Prices

The article shows the current situation in the real estate market. The publication considers the main problems of financing investment and construction projects, as well as the use of the escrow account mechanism. The study also proposes the main ways to solve the existing issues. The main focus of the research paper is on the lack of explanations regarding the ability of banks to dispose of money in escrow accounts, credit conditions, as well as the growth in real estate prices when developers switch to a new mechanism of settlement with shareholders. In addition, the authors analysed the pricing policy of developers before and after amendments to Federal Law No. 214-FZ, dated on December 30, 2004 “On Participation in Shared-Equity Construction of Apartment Buildings and Other Real Estate Objects and on Amendments to Certain Legislative Acts of the Russian Federation”. The study presents the possible consequences of introducing amendments to the law, switching to escrow accounts.

Investigating the causes of increasing consumer demand for real estate housing in Bangladesh

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mazed Parvez ◽  
Sohel Rana
Keyword(s):  
Real Estate ◽  
Consumer Satisfaction ◽  
Secondary Data ◽  
Real Estate Market ◽  
Sample Size Determination ◽  
Content Type ◽  
The Real ◽  
The Real Estate ◽  
Real Estate Sector ◽  
Increasing Demand

Purpose The purpose of this paper is to find out the causes of increasing population in the real estate area. The demographic in information of the respondents and the level of satisfaction was also carried out for this study. Design/methodology/approach The authors use both primary and secondary data. Total 329 respondents were surveyed at the real estate area after completing sample size determination. Secondary data was collected from journals, real estate offices and papers. After that, using regression and correlation analysis, the data was analyzed and finalized. Findings This study identified migration as the most critical variable. The study determined ten hypotheses and only accepted two. By that, this study finds out the causes of the increasing demand of plots and flats in real estate. Originality/value This study will work as a baseline study for the real estate sector in Bangladesh. Most of the research on Bangladesh’s real estate is done mainly on real estate market assessment and consumer satisfaction. Nevertheless, this study will find out the causes of the increasing population in real estate.

scholarly journals Assessment of the Sustainability of a Real Estate Project Using Multi-Criteria Decision Making

2021 ◽  
Vol 13 (8) ◽  
pp. 4352
Author(s):  
Nomeda Dobrovolskienė ◽  
Anastasija Pozniak ◽  
Manuela Tvaronavičienė
Keyword(s):  
Decision Making ◽  
Real Estate ◽  
New Technologies ◽  
Three Dimensions ◽  
Multi Criteria Decision Making ◽  
The Real ◽  
The Real Estate ◽  
Sustainability Index ◽  
Sustainability Criteria ◽  
Real Estate Projects

Today, sustainability, sustainable development and clean environment come to the fore worldwide. Consequently, the concept of sustainability has been introduced in project management. Sustainability issues have gained particular attention in the real estate sector. However, despite the fact that this sector has a huge impact on the environment and society, real estate projects are most commonly chosen taking into account only their risk and return, and a very limited number of indices and methods are available to assess their sustainability. Moreover, all of the existing indices and models for assessing the sustainability of an investment project take into account only three dimensions of sustainability—environmental, social and economic. Therefore, the novelty of this work lies in constructing a real estate sustainability index (RESI) relying on an additional sustainability aspect—i.e., a technological dimension. The developed sustainability index could be useful in evaluating and comparing real estate projects. It would also promote technological progress and investments in new technologies within projects as sustainability is also considered in a new, technological dimension. A research study was carried out between September 2020 and December 2020. Following an analysis of the literature and different sustainability-related standards relevant for the real estate industry, sustainability criteria were chosen and then grouped into four (environmental, social, economic and technological) categories. The selection and ranking of the most relevant sustainability criteria were performed through a survey. The index was compiled by applying multi-criteria decision making methods.

The main causes of risk in residential real estate projects

2020 ◽  
Vol 45 (3) ◽  
pp. 152-162
Author(s):  
Leandro Pereira ◽  
Sandra Ferreira ◽  
José Santos
Keyword(s):  
Risk Factors ◽  
Risk Management ◽  
Real Estate ◽  
Real Estate Market ◽  
Risk Indicators ◽  
Management Tools ◽  
The Real ◽  
The Real Estate ◽  
Real Estate Projects ◽  
Potential Risks

In the recent years, the Portuguese Real Estate Market has been increasing exponentially. This growth, has generated, in the real estate companies, the need to implement effective project management tools and frameworks in order to provide important metrics of budget control, deadlines and increase risk management. This study aims to understand the different causes of risks in real estate projects and to measure the risk factors that provoke deviations, in terms of cost, time and quality in the real estate market in Portugal. To measure these risk factors, a new methodology has been implemented, namely a new real estate risk plan model for predicting the risks inherent to new construction projects. This methodology aims to produce new and more accurate strategies and plans so as to effectively respond to potential risks and thus achieve the proposed objectives through the desired success. This methodology allows companies to effectively implement a project in a timely manner in order to reduce and mitigate the probability of risk failure based on risk management tools and techniques. The results of this case study have shown that implementing a risk management project is crucial to highlight and measure the risk of project failures and that Companies must implement risk indicators or triggers that give visibility to potential risks/losses that impact company objectives and, on the other hand, establish metrics that translate the organization’s appetite and tolerance into critical risks.

Identifying the risk factors in real estate construction projects: an analytical study to propose a control structure for decision-making

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Shumank Deep ◽  
Vanita Bhoola ◽  
Saumya Verma ◽  
Udara Ranasinghe
Keyword(s):  
Real Estate ◽  
Construction Projects ◽  
Control Structure ◽  
Developing Economies ◽  
Sampling Technique ◽  
Project Managers ◽  
Content Type ◽  
The Real Estate ◽  
Real Estate Sector ◽  
Efficient Planning

Purpose Construction projects in the real estate sector are important for a nation’s economic growth. However, owing to several constraints and stereotypes, the construction industry is suffering from major capital losses. A review of recent literature revealed that risks occurring in real estate construction projects (RECPs) carried out in developing economies can be divided into four categories, i.e. financial risks, design risks, execution risks and sociopolitical risks. This study aims to identify the critical factors that lead to these risk categories and develop a control structure for RECPs. Design/methodology/approach A quantitative method, i.e. a questionnaire-based survey, was used for this study. Using a random sampling technique the questionnaire was distributed to selected, highly experienced project managers. To determine whether the factors identified as part of the literature review strongly influence the categories, the factor analysis of the observations was performed. Findings The observations made in this study lead to the identification of six critical risk causing factors, i.e. lack of efficient planning, execution constraints, external constraints, client-induced constraints, project constraints and partner experience. The observations indicated a lack of knowledge of project management, organizational culture and a claims redressal mechanism in RECPs. Also, this study recommends a blockchain-based control structure to control the occurrence of the risk causing factors identified. Originality/value This study recommends a blockchain-based control structure for controlling the risks occurring.

Claim tenability assessment in Indian real estate projects using ANN and decision tree models

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Himanshu Rai ◽  
Murali Jagannathan ◽  
Venkata Santosh Kumar Delhi
Keyword(s):  
Real Estate ◽  
Decision Tree ◽  
Construction Projects ◽  
The Body ◽  
Machine Learning Techniques ◽  
Ann Model ◽  
Current Form ◽  
Content Type ◽  
Tree Models ◽  
Real Estate Projects

PurposeClaims have become an inseparable part of construction projects across the world. Construction claims often tend to result not only in time and cost overruns but in case of a dispute arising from the claim, it may result in erosion of the brand value and the working relationship between the parties. Thus, construction claim prediction is important but is complicated because of a large number of dependent factors and the complex inter-relations between them. With the aid of machine learning techniques, claim tenability assessment for real estate projects in India is attempted in this paper.Design/methodology/approachIn this research, artificial neural network (ANN) and decision tree models are used for assessment of claims in the Indian real estate sector using project and claims data from 275 real estate projects.FindingsThe developed ANN model assesses the claim tenability in a project with a high degree of accuracy. Both ANN and decision tree models identify that “inconsistency between drawings and specification” as the most influencing factor in claim tenability assessment.Research limitations/implicationsNotwithstanding the claim tenability assessment, the model, in its current form, cannot be used to predict the “extent of claim” in the real estate projects.Originality/valueClaim tenability assessment in real estate projects, especially in India, is scantily discussed in literature. This research, by adding to the body of knowledge, helps in both claim assessment and identification of factors that need to be controlled to reduce the claim tenability in real estate construction projects in India.

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